SCHEDULES

Section 2.

SCHEDULE 1U.K. Appropriate Personal Pension Schemes

InterpretationU.K.

1In this Schedule—

• “member” means a member of a scheme;

• “rules” means the rules of a scheme; and

• “scheme” means a personal pension scheme.

Requirements: generalE+W+S

2The Secretary of State may prescribe descriptions of persons by whom or bodies by which a scheme may be established and, if he does so, a scheme may only be established by a person or body of a prescribed description.

3A scheme must comply with such requirements as may be prescribed as regards the investment of its resources and with any direction of the Occupational Pensions Board that—

(a)no part, or no more than a specified proportion, of the scheme’s resources shall be invested in investments of a specified class or description;

(b)there shall be realised, before the end of a specified period, the whole or a specified proportion of investments of a specified class or description forming part of the scheme’s resources when the direction is given.

4A scheme must comply with such requirements as may be prescribed as regards the part—

(a)of any payment or payments that are made to the scheme by or on behalf of a member;

(b)of any income or capital gain arising from the investment of payments such as are mentioned in sub-paragraph (a) above; or

(c)of the value of rights under the scheme,

that may be used—

(i)to defray the administrative expenses of the scheme;

(ii)to pay commission; or

(iii)in any other way which does not result in the provision of benefits for or in respect of members.

5(1)Subject to sub-paragraph (2) below, all minimum contributions which are paid to a scheme in respect of one of its members must be applied so as to provide money purchase benefits for or in respect of that member, except so far as they are used—

(a)to defray the administrative expenses of the scheme; or

(b)to pay commission.

(2)If regulations are made under paragraph 4 above, minimum contributions may be used in any way which the regulations permit, but not in any way not so permitted except to provide money purchase benefits for or in respect of the member.

6A scheme must satisfy such other requirements as may be prescribed.

Requirements: protected rightsE+W+S

7(1)Unless the rules make provision such as is mentioned in sub-paragraph (2) below, the protected rights of a member are his rights to money purchase benefits under the scheme.

(2)Rules may provide that a member’s protected rights are his rights under the scheme which derive from any payment of minimum contributions to the scheme, together with any rights of his to money purchase benefits which derive from protected rights under another personal pension scheme or protected rights (within the meaning of the M1Social Security Pensions Act 1975) under an occupational pension scheme which have been the subject of a transfer payment and such other rights as may be prescribed.

(3)Where rules make such provision as is mentioned in sub-paragraph (2) above, they shall also make provision for the identification of the protected rights.

(4)The value of protected rights . . . F1;

(a)shall [F1in the case of any such protected rights as are mentioned in sub-paragraph (2) above] be calculated in a manner no less favourable than that in which the value of any other rights of the member to money purchase benefits under the scheme are calculated;

(b)subject to that, shall be calculated and verified in such manner as may be prescribed.

(5)The power to make regulations conferred by sub-paragraph (4) above includes power to provide that protected rights . . . F1are to be calculated and verified in such manner as may be approved in particular cases—

(a)by prescribed persons; or

(b)by persons with prescribed professional qualifications or experience; or

(c)by persons approved by the Secretary of State,

and power to provide that they shall be calculated and verified in accordance with guidance prepared by a prescribed body.

[F28The rules shall provide for effect to be given to the protected rights of a member—

(a)in any case where sub-paragraph (2) of paragraph 9 below so requires, by the purchase of such an annuity as is mentiioned in that sub-paragraph, and

(b)in any other case, in such of the ways permitted by that paragraph as the rules specify,

and they shall not provide for any part of a member’s protected rights to be discharged otherwise than in accordance with that paragraph.]

[F3X1(4)The value of protected rights such as are mentioned in sub-paragraph (2) above—

(a)shall be calculated in a manner no less favourable than that in which the value of any other rights of the member to money purchase benefits under the scheme are calculated;

(b)subject to that, shall be calculated and verified in such manner as may be prescribed.

(5)The power to make regulations conferred by sub-paragraph (4) above included power to provide that protected rights such as are mentioned in sub-paragraph (2) above are to be calculated and verified in such manner as may be approved in particular cases—

(a)by prescribed persons; or

(b)by persons with prescribed professional qualifications or experience; or

(c)by persons approved by the Secretary of State,

and power to provide that they shall be calculated and verified in accordance with guidance prepared by a prescribed body.]

[F28Rules must provide for effect to be given in a manner permitted by paragraph 9 below to the protected rights of every member and must not provide for any part of any member’s protected rights to be discharged in any other way.]

9(1)Effect may be given to protected rights—

(a)by the provision by the scheme of a pension which—

(i)complies with the requirements of sub-paragraph (7) below; and

(ii)satisfies such conditions as may be prescribed; or

(b)in such circumstances and subject to such conditions as may be prescribed, by the making of a transfer payment—

(i)to another personal pension scheme; or

(ii)to an occupational pension scheme,

where the scheme to which the payment is made satisfies such requirements as may be prescribed.

(2)[F4Subject to sub-paragraphs (4) and (6) below] if—

(a)the rules of the scheme do not provide for a pension; or

(b)the member so elects,

[F4then, except to the extent that effect is given to protected rights in accordance with sub-paragraph (3) below, effect shall be given to those rights] by the purchase by the scheme of an annuity which—

(i)complies with the requirements of sub-paragraphs (7) and (8) below; and

(ii)satisfies such conditions as may be prescribed.

[F5X2(2)If—

(a)the rules of the scheme do not provide for a pension;or

(b)the member so elects,

effect may be given to protected rights by the purchase by the scheme of an annuity which—

(i)complies with the requirementrs of sub=paragraph (7) and (8) below; and

(ii)satisfies such conditions as may be prescribed.]

(3)Effect may be given to protected rights by the provision of a lump sum if—

(a)the lump sum is payable on a date which is either the date on which the member attains pensionable age or such later date as has been agreed by him; and

(b)the annual rate of a pension under sub-paragraph (1) above or an annuity under sub-paragraph (2) above giving effect to the protected rights and commencing on the date on which the lump sum is payable would not exceed the prescribed amount; and

(c)the circumstances are such as may be prescribed; and

(d)the amount of the lump sum is calculated in a manner satisfactory to the Occupational Pensions Board by reference to the amount of the pension or annuity.

(4)If the member has died without effect being given to protected rights under sub-paragraph (1), (2) or (3) above, effect may be given to them in such manner as may be prescribed.

(5)No transaction is to be taken to give effect to protected rights unless it falls within this paragraph.

(6)Effect need not be given to protected rights if they have been extinguished by the payment of a personal pension protected rights premium.

(7)A pension or annuity complies with this sub-paragraph if—

(a)it commences—

(i)on the date on which the member attains pensionable age; or

(ii)on such later date as has been agreed by him,

and continues until the date of his death;

(b)in a case where the member dies while it is payable to him and is survived by a widow or widower—

(i)it is payable to the widow or widower in prescribed circumstances and for the prescribed period at an annual rate which at any given time is one-half of the rate at which it would have been payable to the member if the member had been living at that time; or

(ii)where that annual rate would not exceed a prescribed amount and the circumstances are such as may be prescribed, a lump sum calculated in a manner satisfactory to the Occupational Pensions Board is provided in lieu of it.

[F6(7A)As respects the period of 5 years beginning with the commencement of the pension or annuity referred to in sub-paragraph (7) above, that sub-paragraph shall have effect in relation to that pension or annuity as if the words “at least” were inserted immediately before the words “one-half” in paragraph (b)(i).]

(8)An annuity complies with the requirements of this sub-paragraph if it is provided by an insurance company which—

(a)satisfies prescribed conditions;

(b)complies with such conditions as may be prescribed as to the calculation of annuities provided by it and as to the description of persons by or for whom they may be purchased; and

(c)subject to sub-paragraph (9) below, has been chosen by the member.

(9)A member is only to be taken to have chosen an insurance company if he gives notice of his choice to the trustees or managers of the scheme within the prescribed period and in such manner and form as may be prescribed, and with any such supporting evidence as may be prescribed; and, if he does not do so, the trustees or managers may themselves choose the insurance company instead.

10The Occupational Pensions Board must be satisfied that a scheme complies with any such requirements as may be prescribed for meeting the whole or a prescribed part of any liability in respect of protected rights under the scheme which the scheme is unable to meet from its own resources—

(a)by reason of the commission by any person of a criminal offence;

(b)in such other circumstances as may be prescribed.

11Rules must not allow, except in such circumstances as may be prescribed, the suspension or forfeiture of a member’s protected rights or of payments giving effect to them.

GeneralE+W+S

12Nothing in this Schedule shall be taken to prejudice any requirements with which a scheme must comply if it is to qualify for tax-exemption or tax-approval.

Section 6.

SCHEDULE 2U.K. Money Purchase Contracted-Out Schemes

1The M2Social Security Pensions Act 1975 shall be amended as follows.

2In subsection (1) of section 26 (contracting-out of full contributions and benefits) after the word “provides” there shall be inserted the words “or falls to be treated as providing”.

3In section 29 (contracted-out rates of benefit) the following subsections shall be inserted after subsection (2)—

“(2A)Subject to subsection (2B) below, where for any period minimum payments have been made in respect of an earner to an occupational pension scheme which, in relation to the earner’s employment, is a money purchase contracted-out scheme, then, for the purposes of this section and sections 16(2B), 28(7A) and 59(1A) of the principal Act—

(a)the earner shall be treated, as from the date on which he reaches pensionable age, as if he were entitled to a guaranteed minimum pension at a prescribed weekly rate arising from that period in that employment; and

(b)in prescribed circumstances, in relation to any widow or widower of the earner—

(i)if the earner died after reaching pensionable age, any widow or widower of the earner shall be treated as entitled to a guaranteed minimum pension at a rate equal to one-half of the rate prescribed under paragraph (a) above; and

(ii)if the earner died before reaching pensionable age, any widow or widower of the earner shall be treated as entitled to a guaranteed minimum pension at a prescribed weekly rate arising from that period.

(2B)Where the earner is a married woman or widow, subsection (2A) above shall not have effect in relation to any period during which an election that her liability in respect of primary Class 1 contributions shall be a liability to contribute at a reduced rate is operative.

(2C)The power to prescribe a rate conferred by subsection (2A)(a) above includes power to prescribe a nil rate.”.

4In section 30 (contracted-out employment)—

(a)in subsection (1)(a), after the word “scheme” there shall be inserted the words “or his employer makes minimum payments in respect of the earner’s employment to a money purchase contracted-out scheme”;

(b)the following subsections shall be inserted after subsection (1)—

“(1A)The minimum payment in respect of an earner for any tax week shall be the rebate percentage of so much of the earnings paid to or for the benefit of the earner as exceeds the lower earnings limit for the tax week but does not exceed the upper earnings limit for it; and in this subsection “rebate percentage” means the percentage arrived at by adding—

(a)the percentage by which for the time being under section 27(2) above the contracted-out percentage of primary Class 1 contributions is less than the normal percentage; and

(b)the percentage by which for the time being under that subsection the contracted-out percentage of secondary Class 1 contributions is less than the normal percentage.

(1B)The references to the upper and lower earnings limits in subsection (1A) above are references, in the case of an earner who is paid otherwise than weekly, to their prescribed equivalents under section 4(2) and (6) of the principal Act.

(1C)Regulations may make provision—

(a)for the manner in which, and time at which or period within which, minimum payments are to be made;

(b)for the recovery by employers of amounts in respect of the whole or part of minimum payments by deduction from earnings;

(c)for calculating the amounts payable according to a scale prepared from time to time by the Secretary of State or otherwise adjusting them so as to avoid fractional amounts or otherwise facilitate computation;

(d)for requiring that the liability in respect of a payment made in a tax week, in so far as the liability depends on any conditions as to a person’s age on retirement, shall be determined as at the beginning of the week or as at the end of it;

(e)for securing that liability is not avoided or reduced by a person following in the payment of earnings any practice which is abnormal for the employment in respect of which the earnings are paid;

(f)without prejudice to sub-paragraph (e) above, for enabling the Secretary of State, where he is satisfied as to the existence of any practice in respect of the payment of earnings whereby the incidence of minimum payments is avoided or reduced by means of irregular or unequal payments of earnings, to give directions for securing that minimum payments are payable as if that practice were not followed;

(g)for the intervals at which, for the purposes of minimum payments, payments of earnings are to be treated as made; and

(h)for this section to have effect, in prescribed cases, as if for any reference to a tax week there were substituted a reference to a prescribed period.”.

5In section 32 (contracted-out schemes)—

(a)in subsection (2), the words “or it satisfies subsection (2A) below.” shall be inserted after paragraph (b) (but not as part of it);

(b)the following subsections shall be inserted after that subsection—

“(2A)An occupational pension scheme satisfies this subsection only if—

(a)the requirements imposed by or by virtue of Schedule 1 to the Social Security Act 1986, modified under subsection (2B) below, are satisfied in its case;

(b)it complies with section 40(1) below; and

(c)the rules of the scheme applying to protected rights are framed so as to comply with the requirements of any regulations prescribing the form and content of rules of contracted-out schemes and with such other requirements as to form and content (not inconsistent with regulations) as may be imposed by the Occupational Pensions Board as a condition of contracting-out, either generally or in relation to a particular scheme.

(2B)The modifications of Schedule 1 are—

(a)that for the references to a personal pension scheme there shall be substituted references to an occupational pension scheme;

(b)that for the references in paragraph 5 to minimum contributions there shall be substituted references to minimum payments and any payments by the Secretary of State under section 7 of the Social Security Act 1986;

(c)that for paragraph 7(2) there shall be substituted—

(2)The rules of the scheme may provide that a member’s protected rights are his rights under the scheme which derive from the payment of minimum payments (within the meaning of the Social Security Pensions Act 1975) together with any payments by the Secretary of State to the scheme under section 7 of this Act in respect of the member and any rights of the member to money purchase benefits which derive from protected rights (within the meaning of the Social Security Pensions Act 1975) under another occupational pension scheme or protected rights under a personal pension scheme which have been the subject of a transfer payment and such other rights as may be prescribed.;

(d)that in paragraph 9—

(i)for the reference to an occupational pension scheme there shall be substituted a reference to a personal pension scheme; and

(ii)for the reference to a personal pension protected rights premium there shall be substituted a reference to a contracted-out protected rights premium; and

(e)that paragraph 10 shall not apply to public service pension schemes.

(2C)A contracting-out certificate shall state whether the scheme is contracted-out by virtue of subsection (2) or subsection (2A) above; and where a scheme satisfies both of those subsections the employers, in their application for a certificate, shall specify one of the subsections as the subsection by virtue of which they desire the scheme to be contracted-out.

(2D)A scheme which has been contracted-out by virtue of one of those subsections may not become contracted-out by reason of the other, except in prescribed circumstances.”.

6(1)The words “which is not a money purchase contracted-out scheme” shall be inserted after the words “occupational pension scheme” in—

(a)section 33(1);

(b)section 36(1);

(c)section 40(3) and (4);

(d)section 41A(1);

(e)section 42(1);

(f)section 44(1);

(g)section 44A(1);

(h)section 45(1);

(j)section 51;

(k)paragraph 4(1) and (2) of Schedule 2.

(2)If section 9 above comes into force after this paragraph, the amendment to section 36(1) made by sub-paragraph (1) above shall be made in the subsection both as amended by section 9 above and as unamended.

(3)The words “or a money purchase contracted-out scheme” shall be inserted after the words “public service pension scheme” in—

(a)section 40(2);

(b)section 41(1);

(c)section 41E(1).

7The following section shall be inserted after section 44—

“44ZA Money purchase schemes: contracted-out protected rights premium.

“44ZA(1)In the case of a scheme which is or has been a money purchase contracted-out scheme the Occupational Pensions Board may, for the event of, or in connection with, its ceasing to be contracted-out, approve any arrangements made or to be made in relation to the scheme, or for its purposes, for the preservation or transfer of protected rights under the scheme.

(2)If the scheme ceases to be a contracted-out scheme (whether by being wound up or otherwise) and the Occupational Pensions Board either—

(a)have withdrawn their approval of previously approved arrangements relating to it; or

(b)have declined to approve arrangements relating to it,

the Board may issue a certificate to that effect.

(3)A certificate issued under subsection (2)(a) or (b) above shall be cancelled by the Board if they subsequently approve the arrangements.

(4)If the scheme ceases to be a contracted-out scheme (whether by being wound up or otherwise), a state scheme premium shall be payable, except in prescribed circumstances,—

(a)in respect of each earner whose protected rights under the scheme are not subject to approved arrangements and have not been disposed of so as to discharge the trustees or managers of the scheme under section 52C of or paragraph 16 of Schedule 1A to this Act; and

(b)in respect of each person who has become entitled to receive a pension under the scheme giving effect to protected rights which are not subject to approved arrangements.

(5)A premium under subsection (4) above may be referred to as a “contracted-out protected rights premium”.

(6)A contracted-out protected rights premium shall be paid by the prescribed person, within the prescribed period, to the Secretary of State.

(7)The amount of a contracted-out protected rights premium payable in respect of any person shall be the cash equivalent of the protected rights in question, calculated and verified in the prescribed manner.

(8)Where a contracted-out protected rights premium is paid in respect of a person—

(a)the rights whose cash equivalent is included in the premium shall be extinguished; and

(b)section 29(2) and (2A) above and section 4 of the Social Security Act 1986 shall have effect in relation to that person and a widow or widower of that person as if any guaranteed minimum pension to which that person or any such widow or widower is treated as entitled under those provisions and which derives from the minimum payments, minimum contributions (within the meaning of the Social Security Act 1986) or transfer payment or payments from which those rights derive were reduced by the appropriate percentage.

(9)In subsection (8) above “the appropriate percentage” means, subject to the following provisions of this section,

(10)If the appropriate percentage, as calculated under subsection (9) above would fall between two whole numbers, it is to be taken to be the lower number.

(11)If it would be over 1000, it is to be taken to be 100.

(12)The remainder after the reduction for which subsection (8) above provides—

(a)if it would contain a fraction of 1p, is to be treated as the nearest lower whole number of pence; and

(b)if it would be less than a prescribed amount, is to be treated as nil.

(13)The power to make regulations conferred by subsections (7) and (9) above includes power to provide that cash equivalents are to be calculated and verified in such manner as may be approved in particular cases—

(a)by prescribed persons;

(b)by persons with prescribed professional qualifications or experience; or

(c)by persons approved by the Secretary of State,

and power to provide that they shall be calculated and verified in accordance with guidance prepared by a prescribed body.

(14)The cost of providing the appropriate percentage of the guaranteed minimum pension shall be certified by the Secretary of State, and in calculating and certifying it the Secretary of State—

(a)shall apply whichever of the prescribed actuarial tables (as in force at the time when the scheme ceases to be appropriate) is applicable in accordance with the regulations prescribing the tables; and

(b)may make such adjustments as he thinks necessary for avoiding fractional amounts.”.

8In section 48 (guaranteed minimum pensions to be inalienable)—

(a)in subsection (1)—

(i)after the word “scheme”, in the first place where it occurs, there shall be inserted the words “or to payments giving effect to protected rights under such a scheme”; and

(ii)after the word “pension”, where it occurs in paragraphs (a) and (b), there shall be inserted the words “or those payments”; and

(b)in subsection (3), for the words from “any”, in the first place where it occurs, to “not” there shall be substituted the words “nothing whose assignment is or would be made void by that subsection shall”

9In section 49 (supervision of schemes which have ceased to be contracted-out)—

(a)the following paragraph shall be substituted for subsection (1)(b)—

“(b)there has not been a payment—

(i)of a premium under section 44 above in respect of each person entitled to receive, or having accrued rights to, guaranteed minimum pensions under the scheme; or

(ii)of a premium under section 44ZA above in respect of each person who has protected rights under it or is entitled to any benefit giving effect to protected rights under it;”;

(b)in subsection (2)(a), after the word “above” there shall be inserted the words “or, by virtue of subsections (2A) and (2B) of section 32 above, paragraph 10(1) of Schedule 1 to the Social Security Act 1986”; and

(c)in subsection (5), “32” shall be substituted for “33”.

10At the end of subsection (3) of section 50 (alteration of rules of contracted-out schemes) there shall be added the words “or any person has protected rights under it or is entitled to any benefit giving effect to protected rights under it”.

11In section 66(1) (interpretation)—

(a)the following definition shall be inserted before the definition of “guaranteed minimum pension”—

• ““average salary benefits” means benefits the rate or amount of which is calculated by reference to a member’s average salary over the period of service on which the benefits are based;”;

(b)the following definitions shall be inserted after the definition of “long-term benefit”—

• ““minimum payments” shall be construed in accordance with section 30 above;

• “money purchase benefits” in relation to an occupational pension scheme, means benefits the rate or amount of which is calculated by reference to a payment or payments made by a member of the scheme or by any other person in respect of a member, other than average salary benefits;

• “money purchase contracted-out scheme” means an occupational pension scheme which is contracted-out by virtue of satisfying section 32(2A) above;”;

(c)the following definition shall be inserted after the definition of “the principal Act”—

• ““protected rights” has the meaning given by Schedule 1 to the Social Security Act 1986 with the substitution made by section 32(2B) above.”.

12In paragraph 2 of Schedule 3 (priority in bankruptcy etc.)—

(a)the following sub-paragraph shall be inserted after sub-paragraph (1)—

“(1A)This Schedule applies to any sum owed on account of an employer’s minimum payments to a contracted-out scheme falling to be made in the period of twelve months immediately preceding the relevant date.”; and

(b)in sub-paragraph (2)—

(i)the words “or payments” shall be inserted after the word “contributions”; and

(ii)the words “or (1A)” shall be inserted after the words “sub-paragraph (1)”.

Section 39.

SCHEDULE 3E+W+S Industrial Injuries and Diseases

E+W+S

1—16.E+W+S. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F7

Pneumoconiosis etc. (Workers’ Compensation) Act 1979 (c. 41)E+W+S

17(1)Section 2 of the Pneumoconiosis etc. (Workers’ Compensation) Act 1979 (conditions of entitlement to lump sum payments) shall be amended as follows.E+W+S

(2)At the end of subsection (1)(a) there shall be added the words “or, subject to subsection (3A) below, would be payable to him in respect of it but for his disablement amounting to less than the appropriate percentage”.

(3)At the end of subsection (2)(b) there shall be added the words “or, subject to subsection (3A) below, would have been so payable to him—

(i)but for his disablement amounting to less than the appropriate percentage; or

(ii)but for his not having claimed the benefit; or

(iii)but for his having died before he had suffered from the disease for the appropriate period”.

(4)In subsection (3) the following definitions shall be inserted before the definition of “death benefit”—

• ““the appropriate percentage” means, in the case of any disease, the percentage specified in subsection (1) of section 57 of the Social Security Act 1975 or, if regulations have been made under section 77 of that Act specifying a different percentage in relation to that disease, the percentage specified in the regulations;

• “the appropriate period” means, in the case of any disease, the period specified in subsection (4) of the said section 57 or, if regulations have been made under the said section 77 specifying a different period in relation to that disease, the period specified in the regulations;”.

(5)The following subsection shall be inserted after that subsection—

“(3A)No amount is payable under this Act in respect of disablement amounting to less than 1 per cent.”.

SCHEDULE 4E+W+S . . . F8

Section 52.

SCHEDULE 5U.K. Adjudication

Part I U.K. Amendment of Enactments

Social Security Act 1973 (c. 38)U.K.

1In section 67(2) of the Social Security Act 1973 (review of determinations by Occupational Pensions Board) the words “or was erroneous in point of law” shall be inserted at the end of paragraph (a).

E+W+S

2—20.E+W+S. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F9

Part II E+W+S Questions for Determination by the Secretary of State

The questions referred to in section 52(2) above are—

SCHEDULES 6, 7U.K. . . . F11

Section 75.

SCHEDULE 8U.K. Earnings Factors

E+W+S

1—3.E+W+S. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F12

Social Security Pensions Act 1975 (c. 60)U.K.

4The Social Security Pensions Act 1975 shall be amended as follows.

5—7.E+W+S. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F13

8(1)In subsection (2) of section 35 (earner’s guaranteed minimum) for the words “contributions paid in respect of such earnings as are mentioned in subsection (1) above” there shall be substituted the words “earnings such as are mentioned in subsection (1) above upon which primary Class 1 contributions have been paid or treated as paid”.

9Section 43(1A) and section 47(2A) shall not apply to any period after the end of the tax year 1986–87.

10In subsection (3)(b) of section 45 (premium where guaranteed minimum pension excluded from full revaluation) for the word “contributions”, in the first place where it occurs, there shall be substituted the words “earnings upon which primary Class 1 contributions have been paid or treated as paid”.

Social Security (Miscellaneous Provisions) Act 1977 (c. 5)U.K.

11In subsection (1)(b) of section 21 of the Social Security (Miscellaneous Provisions) Act 1977 (calculation of guaranteed minimum pensions preserved under approved arrangements) after the word “contributions”, in the first place where it occurs, there shall be inserted the words “or earnings”.

Section 82.

SCHEDULE 9U.K. Northern Ireland

Part I N.I. . . . F14

Part II N.I. Transfer of Functions Relating to Commissioners

2(1)In this Part—N.I.

• “the Commissioners” means the Chief and other Social Security Commissioners for Northern Ireland;

• “the Department”, except in the expression “the Department of Finance and Personnel”, means the Department of Health and Social Services for Northern Ireland.

(2)The references in paragraphs 3(1)(b) and 4 to service by any person as a Commissioner include references to service treated as service as a Commissioner under paragraph 5(2) of Schedule 10 to the M4Social Security (Northern Ireland) Act 1975 (service under former enactments).

3(1)The following functions of the Department are hereby transferred to the Lord Chancellor—N.I.

(a)the functions of the Department under paragraphs 4, 6 and 7 of Schedule 10 to the Social Security (Northern Ireland) Act 1975 (payment of remuneration, expenses, and pensions of the Commissioners);

(b)the functions of the Department under the provisions of the M5Judicial Pensions Act (Northern Ireland) 1951 (lump sums and widow’s and children’s pensions) and paragraph 3 of Schedule 3 to the M6Administration of Justice Act 1973 (increase of certain widow’s and children’s pensions) so far as those provisions apply to service by any person as a Commissioner;

(c). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F15

(d)the making, under or for the purposes of the enactments mentioned in sub-paragraph (2) below, of regulations with respect to proceedings before the Commissioners, whether for the determination of any matter or for leave to appeal to or from the Commissioners.

(2)The enactments referred to in sub-paragraph (1)(d) above are—

(a)—(g). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F15

(h)Article 6 of the M7Forfeiture (Northern Ireland) Order 1982;

(j). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F15

4(1)The functions of the Department of Finance and Personnel, so far as they relate to the functions transferred by paragraph 3 above, are hereby transferred to the Treasury.N.I.

(2)The functions of the Department of Finance and Personnel under the M8Judicial Pensions Act (Northern Ireland) 1951, so far as it applies to service by any person as a Commissioner, are hereby transferred to the Treasury.

5N.I.The functions of the Secretary of State under paragraph 7(5) of Schedule 10 to the Social Security (Northern Ireland) Act 1975 (power of Secretary of State to require person retired on medical grounds to resume duties of Commissioner) are hereby transferred to the Lord Chancellor.

6(1)Subject to any Order made after the passing of this Act by virtue of subsection (1)(a) of section 3 of the M9Northern Ireland Constitution Act 1973, the matters to which this paragraph applies shall not be transferred matters for the purposes of that Act but shall for the purposes of subsection (2) of that section be treated as specified in Schedule 3 to that Act.

(2)This paragraph applies to all matters relating to the Commissioners, including procedure and appeals, other than those specified in paragraph 9 of Schedule 2 to the Northern Ireland Constitution Act 1973.

7N.I.Regulations made by the Lord Chancellor by virtue of this Part of this Schedule shall be subject to annulment in pursuance of a resolution of either House of Parliament in like manner as a statutory instrument and section 5 of the M10Statutory Instruments Act 1946 shall apply accordingly.

8(1)Enactments and instruments passed or made before the coming into operation of this Part of this Schedule shall have effect, so far as may be necessary for the purpose or in consequence of the transfers effected by this Part as if—N.I.

(a)references to the Department or to the Secretary of State were references to the Lord Chancellor; and

(b)references to the Department of Finance and Personnel were references to the Treasury; and

(c)references to moneys appropriated by Measure of the Northern Ireland Assembly were references to money provided by Parliament and references to the Consolidated Fund of Northern Ireland were references to the Consolidated Fund of the United Kingdom.

(2)This Part of this Schedule shall not affect the validity of anything done (or having effect as done) by or in relation to the Department, the Department of Finance and Personnel or the Secretary of State before the coming into operation of this Part, and anything which at the time of the coming into operation of this Part is in process of being done by or in relation to either of those Departments or the Secretary of State may, if it relates to a function transferred by this Part, be continued by or in relation to the Lord Chancellor or the Treasury, as the case may require.

(3)Anything done (or having effect as done) by the Department, the Department of Finance and Personnel or the Secretary of State for the purpose of a function transferred by this Part of this Schedule, if in force at the coming into operation of this Part, shall have effect, as far as required for continuing its effect after the coming into operation of this Part, as if done by the Lord Chancellor or by the Treasury, as the case may require.

(4)The amendments specified in Part III of this Schedule are without prejudice to the generality of this paragraph.

Part III U.K. Consequential Amendments

Judicial Pensions Act (Northern Ireland) 1951 (c. 20)(N.I.)U.K.

9U.K.In section 16 of the Judicial Pensions Act (Northern Ireland) 1951 (recommendation required for payments conditional on eligibility for Commissioners’ pensions) for the words “Department of Health and Social Services” there shall be substituted the words “Lord Chancellor”.

Social Security (Northern Ireland) Act 1975 (c. 15)U.K.

10(1)In paragraphs 4, 6 and 7 of Schedule 10 to the Social Security (Northern Ireland) Act 1975 (payment of remuneration, expenses and pensions of the Commissioners)—U.K.

(a)for the word “Department” in each place where it occurs (except in the expression “Department of Finance”) there shall be substituted the words “Lord Chancellor”;

(b)for the words “Department of Finance” in each place where they occur there shall be substituted the word “Treasury”.

(2)In sub-paragraph (1) of the said paragraph 6 for the words “moneys appropriated by Measure of the Northern Ireland Assembly” there shall be substituted the words “money provided by Parliament”.

(3)In sub-paragraph (5) of the said paragraph 7 for the words “Secretary of State” there shall be substituted the words “Lord Chancellor”.

Social Security Act 1980 (c. 30)U.K.

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Forfeiture (Northern Ireland) Order 1982 (S.I. 1982/1082 (N.I. 14))U.K.

13U.K.In Article 6(2) of the Forfeiture (Northern Ireland) Order 1982 (regulations for purposes of determinations by Social Security Commissioner), for the words “Department of Health and Social Services” there shall be substituted the words “Lord Chancellor”.

Section 86.

SCHEDULE 10U.K. Minor and Consequential Amendments

Part I U.K. Pensions

Social Security Act 1973 (c. 38)U.K.

1U.K.The Social Security Act 1973 shall be amended as follows.

2In section 58(2) (linked qualifying service)—

(a)the following paragraph shall be substituted for paragraph (a)—

“(a)under the rules of a scheme applying to him in the earlier period of service—

(i)there was made a transfer of his accrued rights under that scheme to another scheme applying to him in the later period of service; or

(ii)those rights were secured by a policy of insurance or an annuity contract and were subsequently transferred to another scheme applying to him in the later period of service;”; and

(b)in paragraph (b), for the words “that transfer” there shall be substituted the words “the transfer of his accrued rights to the second scheme.”.

3In section 64 (modification of occupational pension scheme by order of Occupational Pensions Board) the following subsection shall be inserted after subsection (1)—

“(1A)The Board shall also have power on such an application to make an order—

(a)authorising the modification of the scheme with a view to achieving any one or more of such other purposes as may be prescribed; or

(b)modifying the scheme with a view to achieving any one or more of those purposes.”.

4In section 66—

(a)in subsection (1)(a), for the words “and the Pensions Act” there shall be substituted the words “, the Pensions Act and Part I of the Social Security Act 1986”;

(b)in subsection (7)(a), after the words “contracting-out certificates” there shall be inserted the words “and appropriate scheme certificates”; and

(c)the following subsection shall be substituted for subsection (10)—

“(10)References in this section—

(a)to this Part of this Act, the Pensions Act and Part I of the Social Security Act 1986 include references to any provisions in force in Northern Ireland and corresponding to provisions of this Part of this Act, the Pensions Act or Part I of the Social Security Act 1986; and

(b)to contracting-out certificates and appropriate scheme certificates include references to contracting-out certificates and appropriate scheme certificates within the meaning of any such provisions.”.

5In section 67(1)(a) (review of determinations by Board) after the words “contracting-out certificate” there shall be inserted the words “or an appropriate scheme certificate”.

6In section 69 (rule against perpetuities)—

(a)in subsection (1), for the words “an occupational” there shall be substituted the words “a personal or occupational”;

(b)in subsection (2), for the words “under this Part of this Act” there shall be substituted the words “or an appropriate scheme under Part I of the Social Security Act 1986”; and

(c)in subsection (5), for the words “which ceases to be contracted-out, or” there shall be substituted the words “which ceases—

(a)if it is an occupational pension scheme, to be contracted-out; or

(b)if it is a personal pension scheme, to be an appropriate scheme,

or ”.

7Sections 70 (legal restrictions of doubtful application), 71 (friendly societies) and 72 (fees for official services to schemes) shall have effect in relation to personal pension schemes as they have effect in relation to occupational pension schemes.

8In section 99(1) the following definitions shall be inserted at the appropriate places—

• “ “appropriate scheme” shall be construed in accordance with Part I of the Social Security Act 1986;”; and

• “ “personal pension scheme” has the same meaning as in the Social Security Act 1986;”.

9In paragraph 4 of Schedule 16 (preservation of benefits under occupational pension schemes)—

(a)for the words “requisite benefits” in the first place where they occur in sub-paragraph (2) and in sub-paragraph (3) there shall be substituted the words “a guaranteed minimum pension”; and

(b)for the words “his requisite benefits” in sub-paragraph (2) there shall be substituted the words “the guaranteed minimum pension”.

U.K.

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Social Security Pensions Act 1975 (c. 60)U.K.

11U.K.The Social Security Pensions Act 1975 shall be amended as follows.

12In section 26 (contracting-out)—

(a)in subsection (1), for the words “the requisite benefits” there shall be substituted the words “a guaranteed minimum pension”; and

(b)in subsection (2), for the words from the beginning to “such pension” there shall be substituted the words “ “Guaranteed minimum pension” means any pension which is provided by an occupational pension scheme in accordance with the requirements of sections 33 and 36 below ”.

13In section 27(4) (contracted-out rates of Class 1 contributions) for the words from the beginning to “that employment” there shall be substituted the words “Where—

(a)an earner has ceased to be employed in an employment; and

(b)earnings are paid to him or for his benefit within the period of 6 weeks, or such other period as may be prescribed, from the day on which he so ceased,

that employment ”.

14In section 29 (contracted-out rates of benefit)—

(a)in subsection (1)(a), for the words “or a widow’s pension” there shall be substituted the words “, a widow’s pension or a widower’s invalidity pension under section 16 above”;

(b)in subsection (2)—

(i)after the words “this section” there shall be inserted the words “and sections 16(2B), 28(7A) and 59(1A) of the principal Act”; and

(ii)at the end there shall be added the words “or if as a result of a transfer payment or transfer under regulations made by virtue of section 38 below he is no longer entitled to guaranteed minimum pensions under the scheme by which the transfer payment or transfer is made and has not as a result of the transfer payment or transfer become entitled to guaranteed minimum pensions under the scheme to which the transfer payment or transfer is made.”

15In section 30(1)(a) (contracted-out employment) for the words “the requisite benefits of” there shall be substituted the words “a guaranteed minimum pension provided by”.

16In section 32 (contracted-out schemes)—

(a)in subsection (2)—

(i)for the words “the requisite benefits” in paragraph (a); and

(ii)for the words “requisite benefits” in paragraph (b), there shall be substituted the words “guaranteed minimum pensions”;

(b)in subsection (4) the words “relating to the scheme or its management” shall cease to have effect.

17In section 33 (requirements for contracting-out) the following subsection shall be inserted after subsection (1)—

“(1A)In the case of an earner who is a married woman or widow who is liable to pay primary Class 1 contributions at a reduced rate by virtue of section 3 of this Act, subject to the provisions of this Part of this Act, for a scheme to be contracted-out in relation to her employment it must—

(a)provide for her to be entitled to a pension under the scheme if she attains pensionable age; and

(b)satisfy such other conditions as may be prescribed.”.

18The following subsection shall be substituted for section 38(1) (transfer of accrued rights)—

“(1)Regulations may prescribe circumstances in which and conditions subject to which—

(a)there may be made by one occupational pension scheme to another or by an occupational pension scheme to a personal pension scheme a transfer of or a transfer payment in respect of—

(i)an earner’s accrued rights to guaranteed minimum pensions under a contracted-out scheme;

(ii)an earner’s accrued rights to pensions under an occupational pension scheme which is not contracted-out, to the extent that those rights derive from his accrued rights to guaranteed minimum pensions under a contracted-out scheme; or

(iii)the liability for the payment of guaranteed minimum pensions to or in respect of any person who has become entitled to them;

(b)there may be made to an occupational pension scheme or a personal pension scheme a transfer of or a transfer payment in respect of an earner’s accrued rights to guaranteed minimum pensions which are appropriately secured for the purposes of section 52C below.”.

19Sections 41(4) and 49(3) and (7) (powers of Occupational Pensions Board which are no longer required) shall cease to have effect.

20In section 41A(4) of that Act (protection of earner’s pensions) “2” shall be substituted for “5”.

21In section 42(1)(b) (premium on termination of contracted-out employment) for the word “five” there shall be substituted the word “two”.

22In section 43(2A) (linked qualifying service)—

(a)the following paragraph shall be substituted for paragraph (a)—

“(a)under the rules of a scheme applying to him in the earlier period of service—

(i)there was made a transfer of his accrued rights under that scheme to another scheme applying to him in the later period of service; or

(ii)those rights were secured by a policy of insurance or an annuity contract and were subsequently transferred to another scheme applying to him in the later period of service;”; and

(b)in paragraph (b), for the words “that transfer” there shall be substituted the words “transfer of his accrued rights to the second scheme”.

23(1)In subsection (1) of section 44 (premium on termination of contracted-out scheme) after the word “is” there shall be inserted the words “or has been” and after the words “for the event of” there shall be inserted the words “, or in connection with,”.

(2)The following subsections shall be inserted after subsection (1B) of that section (arrangements for scheme’s ceasing to be contracted-out)—

“(1C)If the scheme ceases to be a contracted-out scheme (whether by being wound up or otherwise) and the Occupational Pensions Board either—

(a)have withdrawn their approval of previously approved arrangements relating to it; or

(b)have declined to approve arrangements relating to it,

the Board may issue a certificate to that effect.

(1D)A certificate issued under subsection (1C)(a) or (b) above shall be cancelled by the Board if they subsequently approve the arrangements.”.

(3)In subsection (2)(a) of that section, after the word “under”, in the second place where it occurs, there shall be inserted the words “section 52C of or”.

(4)In subsection (5) of that section, for the words “The amount” there shall be substituted the words “Subject to subsection (5A) below, the amount”.

(5)The following subsections shall be inserted after that subsection—

“(5A)Where in calculating the costs referred to in subsection (5) above the Secretary of State cannot readily ascertain the amount of any earnings in a tax week, he may make the calculation as if the amount of those earnings were equal to the upper earnings limit for that tax week, and may certify the costs accordingly.

(5B)Where—

(a)the Secretary of State subsequently ascertains the amount of those earnings; and

(b)it appears to him that the amount of the premium would have been less if he had not made the calculation on the basis described in subsection (5A) above,

he shall refund to the prescribed person the amount by which it would have been less.”.

24The following subsection shall be inserted after section 49(2) of that Act (duty to supervise schemes which have ceased to be contracted-out)—

“(2A)Where in the case of any scheme the Board have issued a certificate under subsection (1C) of section 44 above which has not been cancelled under subsection (1D) of that section, or a certificate under subsection (2) of section 44ZA above which has not been cancelled under subsection (3) of that section, the Board shall not be under the duty which would otherwise be imposed on them by subsection (2) above in relation to that scheme.”.

25In section 50 (alteration of rules of contracted-out schemes)—

(a)in subsection (1)—

(i)after the word “Board” there shall be inserted the words “unless it is an alteration to which this subsection does not apply”; and

(ii)for the words “such alteration” there shall be substituted the words “alteration to which this subsection applies”; and

(b)the following subsection shall be inserted after that subsection—

“(1A)Subsection (1) above does not apply—

(a)to an alteration consequential on a provision of the Health and Social Security Act 1984, the Social Security Act 1985 or the Social Security Act 1986; or

(b)to an alteration of a prescribed description.”.

26(1)Section 52C (cases where scheme’s liability is discharged) shall have effect and shall be deemed always to have had effect as if the following subsections were substituted for subsections (1) to (3)—

“(1)A transaction to which this section applies discharges the trustees or managers of an occupational pension scheme from their liability to provide for or in respect of any person either the requisite benefits or short service benefit or any alternative to short service benefit—

(a)if it is carried out not earlier than the time when that person’s pensionable service terminates; and

(b)if and to the extent that it results in—

(i)the requisite benefits; or

(ii)short service benefit, or an alternative to short service benefit, for or in respect of that person being appropriately secured; and

(c)in a case where the transaction takes place on or after 1st January 1986, if and to the extent that the requirements set out in any one of paragraphs (a), (b) and (c) of subsection (5) below are satisfied.

(2)This section applies to the following transactions—

(a)the taking out or the transfer of the benefit of a policy of insurance or a number of such policies;

(b)the entry into or the transfer of the benefit of an annuity contract or a number of such contracts.”.

(2)Subsection (5) of that section shall have effect and shall be deemed always to have had effect as if “(1)” were substituted for “(2)(b)”.

(3)In relation to transactions which take place after the commencement of section 8 above section 52C(1) of the M11Social Security Pensions Act 1975 shall have effect with the substitution of the words “guaranteed minimum pensions” for the words “the requisite benefits”, in both places where they occur.

27(1)Subsection (1) of section 52D (supplementary provisions) shall have effect and shall be deemed always to have had effect—

(a)as if the following paragraph were substituted for paragraph (b)—

“(b)either—

(i)the transaction wholly or partly securing them was carried out before 1st January 1986 and discharged the trustees or managers of the scheme as mentioned in subsection (1) of that section; or

(ii)it is carried out on or after that date without any of the requirements specified in subsection (5)(a) to (c) of that section being satisfied in relation to it and the scheme has been wound up;”; and

(b)as if for the words from “entitled” to “which” there were substituted the words “only entitled to such part (if any) of his or her guaranteed minimum pension as”.

(2)In that subsection after the words “purposes of” there shall be inserted the words “sections 16(2B), 28(7A) and 59(1A) of the principal Act and”.

28The following definition shall be inserted after the definition of “occupational pension scheme” in section 66(1)—

29At the end of paragraph 5(1) of Part I of Schedule 1A (revaluation of pensions) there shall be added the words “and which is not an average salary benefit”.

30In Part II of Schedule 1A (transfer values)—

(a)the following sub-paragraphs shall be inserted after paragraph 12(2)—

“(2A)Where a member continues in employment to which a scheme applies after his pensionable service in that employment terminates—

(a)if regulations so provide, he only acquires a right to the cash equivalent of such part of the benefits specified in sub-paragraph (1) above as may be prescribed; and

(b)if regulations so provide, he acquires no right to a cash equivalent.

(2B)Regulations may provide for the purposes of sub-paragraph (2A) above that in prescribed circumstances a number of employments (whether or not consecutive) shall be treated as a single employment.”;

(b)paragraph 12(4) and the reference to it in paragraph 12(3) shall be omitted and shall be deemed never to have been included;

(c)in paragraph 13—

(i)in paragraph (c) of sub-paragraph (2), for the words “such other type or types of pension arrangements as may be prescribed” there shall be substituted the words “other pension arrangements which satisfy prescribed requirements”; and

(ii)the following sub-paragraph shall be inserted after that sub-paragraph—

“(2A)Without prejudice to the generality of sub-paragraph (2) above, the powers conferred by that sub-paragraph include power to provide that a scheme, an annuity or pension arrangements must satisfy requirements of the Inland Revenue.”;

(iii)in sub-paragraph (5)(b), for the word “them” there shall be substituted the words “the trustees or managers of the scheme from which he is being transferred”; and

(d)in paragraph 14—

(i)in sub-paragraph (1), for the words “The cash equivalents mentioned in paragraph 12(1) above” there shall be substituted the words “Cash equivalents”;

(ii)at the end of sub-paragraph (2), there shall be added (but not as part of paragraph (c)) the words “and power to provide that they shall be calculated and verified in accordance with guidance prepared by a prescribed body,”; and

(iii)the following paragraph shall be substituted for sub-paragraph (3)(b)—

Employment Protection (Consolidation) Act 1978 (c. 44)U.K.

31(1)In the following provisions of the Employment Protection (Consolidation) Act 1978 (which all relate to payments to pension schemes of contributions which are unpaid on employer’s insolvency) the words “or a personal pension scheme” shall be inserted after the words “an occupational pension scheme”—

(a)section 123(1) and (3);

(b)section 124(2);

(c)section 125(3); and

(d)section 126(1).

(2)In section 123(2) of that Act for the words “in accordance with an occupational pension scheme” there shall be substituted the words “to an occupational pension scheme or a personal pension scheme”.

(3)In section 127(3) of that Act the following definition shall be inserted after the definition of “occupational pension scheme”—

Part II U.K. Income-Related Benefits

National Assistance Act 1948 (c. 29)U.K.

32(1)In subsection (3) of section 22 of the National Assistance Act 1948 (charges to be made for local authority accommodation) for the words “(apart from any supplementation of his resources which he will receive under the M12Supplementary Benefits Act 1976” there shall be substituted the words “(disregarding income support)”.

(2)At the end of subsection (5) of that section there shall be added the words “except that, until the first such regulations come into force, a local authority shall give effect to Part III of Schedule 1 to the M13Supplementary Benefits Act 1976, as it had effect immediately before the amendments made by Schedule 2 to the M14Social Security Act 1980.”

33U.K.The words “, whether before or after the commencement of the Supplementary Benefits Act 1976,” shall be omitted from subsection (6) of section 43 of that Act (recovery of cost of assistance from persons liable for maintenance).

Maintenance Orders Act 1950 (c. 37)U.K.

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35U.K.In section 4 of that Act (jurisdiction of English courts to make affiliation orders against persons in Scotland or Northern Ireland)—

(a)the following paragraph shall be added at the end of subsection (1)—

“(d)for an order under section 24 of the Social Security Act 1986 (which provides for the recovery of expenditure on income support from such persons);” and

(b)in subsection (2), after the words “or the said section 18” there shall be inserted the words “or the said section 24”.

36U.K.In section 9 of that Act—

(a)the following paragraph shall be added at the end of subsection (1)—

“(d)for an order under section 24 of the Social Security Act 1986 (which provides for the recovery of expenditure on income support from such persons);” and

(b)in subsection (2), after the words “or the said section 18” there shall be inserted the words “or the said section 24”.

37In section 11(1) of that Act (jurisdiction of Northern Ireland courts to make affiliation orders) after “1977” there shall be inserted the words “or any enactment applying in Northern Ireland and corresponding to section 25 of the Social Security Act 1986”.

38U.K.In section 12 of that Act (jurisdiction of Northern Ireland courts to make affiliation orders against persons in England or Scotland)—

(a)the following paragraph shall be added at the end of subsection (1)—

“(d)for an order under any enactment applying in Northern Ireland and corresponding to section 24 of the Social Security Act 1986 (which provides for the recovery of expenditure on income support from such persons);” and

(b)the words “or of any order falling within subsection (1)(d) of this section” shall be added at the end of subsection (2).

39U.K.In section 16(2) of that Act (enforcement of maintenance orders)—

(a)the following sub-paragraph shall be inserted after paragraph (a)(vii)—

“(viii)section 24 of the Social Security Act 1986 or section 4 of the Affiliation Proceedings Act 1957 on an application made under section 25(1) of the Act of 1986;”;

(b)the following sub-paragraph shall be inserted after paragraph (b)(viii)—

“(ix)an order made on an application under section 24 of the Social Security Act 1986;”; and

(c)the following sub-paragraph shall be inserted after paragraph (c)(vii)—

“(viii)any enactment applying in Northern Ireland and corresponding to section 24 of the Social Security Act 1986;”.

U.K.

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Social Work (Scotland) Act 1968 (c. 49)U.K.

41(1)In section 78(2A) of the Social Work (Scotland) Act 1968 (duty to make contributions in respect of children in care etc.) for words from “of” where second occurring to the end there shall be substituted the words “of income support or family credit.”.

(2)In section 87(3) of that Act (charges for service and accommodation)—

(a)after the word “by” where first occurring there shall be inserted the words “the Schedule to the M15Housing (Homeless Persons) Act 1977, paragraph 2(1) of Schedule 4 to the M16Social Security Act 1980,”;

(b)after “1983” there shall be inserted “and paragraph 32 of Schedule 10 to the Social Security Act 1986”; and

(c)for the words “to 44” there shall be substituted the words “(as amended by paragraph 5 of Schedule 1 to the M17Law Reform (Parent and Child) (Scotland) Act 1986) and 43”.

Administration of Justice Act 1970 (c. 31)U.K.

42U.K.In Schedule 8 to the Administration of Justice Act 1970 (maintenance orders)—

(a)in paragraph 5, the word “or” shall be omitted from both places where it occurs and after “1975” there shall be inserted the words “or section 25 of the Social Security Act 1986”; and

(b)in paragraph 6, the word “or”, where first occurring, shall be omitted and after “1976” there shall be inserted the words “ or section 24 of the Social Security Act “1986”. ”

Attachment of Earnings Act 1971 (c. 32)U.K.

43U.K.In Schedule 1 to the Attachment of Earnings Act 1971 (maintenance orders)—

(a)in paragraph 6, the word “or” shall be omitted from both places where it occurs and after “1976” there shall be inserted the words “or section 25 of the Social Security Act 1986”; and

(b)in paragraph 7, the word “or” where first occurring shall be omitted and after “1976” there shall be inserted the words “or section 24 of the Social Security Act 1986”.

Housing (Financial Provisions) (Scotland) Act 1972 (c. 46)U.K.

44(1)In section 24(1)(a) of the Housing (Financial Provisions) (Scotland) Act 1972 (amount to be carried to credit of rent rebate account) for the words “under section 32 of the M18Social Security and Housing Benefits Act 1982” there shall be substituted the words “under section 30 of the Social Security Act 1986”.U.K.

(2)In section 25(1)(a) of that Act (amount to be carried to credit of rent allowance account) for the words “under section 32 of the Social Security and Housing Benefits Act 1982” there shall be substituted the words “under section 30 of the Social Security Act 1986”.

Employment and Training Act 1973 (c. 50)U.K.

45U.K.In section 12(2)(b) of the Employment and Training Act 1973 (ancillary and transitional provisions) for the words “supplementary benefit within the meaning of the M19Supplementary Benefits Act 1976” there shall be substituted the words “income support”.

Legal Aid Act 1974 (c. 4)U.K.

46U.K.In each of the following provisions of the Legal Aid Act 1974, for the words from “supplementary” to “1970” there shall be substituted the words “income support or family credit”—

(a)section 1(1)(b);

(b)section 4(2);

(c)section 11(5).

47U.K.In paragraph 3(c) of Part I of Schedule 1 to that Act for the words “18 of the M20Supplementary Benefits Act 1976” there shall be substituted the words “24 of the Social Security Act 1986”.

U.K.

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Local Government (Scotland) Act 1975 (c. 30)U.K.

Rating (Disabled Persons) Act 1978 (c. 40)U.K.

49U.K.The words “the housing benefit scheme (whether or not modified under section 28 of the Social Security Act 1986)” shall be substituted for the words “a scheme made under section 28(1)(a) of the M21Social Security and Housing Benefits Act 1982 (whether or not modified under section 30(1)(a) of that Act)”—

(a)in section 8(4) of the Local Government (Scotland) Act 1975 (payment of rates by instalments);

(b)in section 1(6) of the Rating (Disabled Persons) Act 1978 (rebates for hereditaments with special facilities for disabled persons); and

(c)in section 4(9) of that Act (rebates for lands and heritages with special facilities for disabled persons).

Employment Protection (Consolidation) Act 1978 (c. 44)U.K.

50In section 132 of the Employment Protection (Consolidation) Act 1978 (recoupment of benefit)—

(a)in subsection (2)(a) and (c), for the words “supplementary benefit” there shall be substituted the words “income support”;

(b)in subsection (3)—

(i)in paragraphs (a) and (f), for the words “supplementary benefit” there shall be substituted the words “income support”; and

(ii)in paragraph (e), for the words from “who” to the end of the paragraph there shall be substituted the words “a right of appeal to a social security appeal tribunal against any decision of an adjudication officer as to the total or partial recoupment of income support in pursuance of the regulations;”; and

(c)in subsection (4), for the words from “supplementary benefit”, in the first place where those words occur, to the end there shall be substituted the words “income support, no sum shall be recoverable under the Social Security Act 1986, and no abatement, payment or reduction shall be made by reference to the income support recouped.”.

Child Care Act 1980 (c. 5)U.K.

51The following subsection shall be substituted for subsection (1A) of section 45 of the Child Care Act 1980 (liability for contributions in respect of children in care)—

“(1A)A person shall not be liable under subsection (1)(i) above to make any contribution during any period when he is in receipt of income support or family credit.”.

Local Government, Planning and Land Act 1980 (c. 65)U.K.

52(1)In section 54 of the Local Government, Planning and Land Act 1980 (rate support grant) in subsections (1) and (2) for the words “and subsidies under section 32(1)(a) of the M22Social Security and Housing Benefits Act 1982” there shall be substituted the words “and rate rebate subsidy under the Social Security Act 1986”.

(2)The following paragraph shall be substituted for subsection (5)(d) of that section—

“(d)subsection (10) or section 30 of the Social Security Act 1986 (power to exclude rate fund contributions under subsection (6) of that section and certain other items);”.

53U.K.In section 154 of that Act (grant of rent rebates by urban developments corporations) for the words “Part II of the Social Security and Housing Benefits Act 1982” there shall be substituted the words “Part II of the Social Security Act 1986”.

U.K.

54U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F21

Civil Jurisdiction and Judgments Act 1982 (c. 27)U.K.

55U.K.In paragraph 5 of Schedule 5 to the Civil Jurisdiction and Judgments Act 1982 (proceedings excluded from Schedule 4)—

(a)in sub-paragraph (c), after “1976”, there shall be inserted the words “section 24 of the Social Security Act 1986, or any enactment applying in Northern Ireland and corresponding to it,”; and

(b)in sub-paragraph (d), after “1976,” there shall be inserted the words “section 25 of the Social Security Act 1986 or any enactment applying in Northern Ireland and corresponding to it,”.

Legal Aid Act 1982(c.44)U.K.

56U.K.In section 7(8) of the Legal Aid Act 1982 (legal aid contribution orders) for the words from “supplementary benefit” to the end there shall be substituted the words “income support or family credit under the Social Security Act 1986.”.

Transport Act 1982 (c. 49)U.K.

57U.K.In section 70(2)(b) of the Transport Act 1982 (payments in respect of applicants for exemption from wearing seat belts) for the words from “of” to “and” there shall be substituted the words “of income support or family credit and”.

Housing Act 1985 (c. 68)U.K.

58U.K.In subsection (2)(b) of section 425 of the Housing Act 1985 (the local contribution differential) for the words “section 32 of the Social Security and Housing Benefits Act 1982” there shall be substituted the words “section 30 of the Social Security Act 1986”.

59U.K.In Item 4 in Part I of Schedule 14 to that Act (items to be credited to the Housing Revenue Account) for the words “Social Security and Housing Benefits Act 1982” there shall be substituted the words “Social Security Act 1986”.

60U.K.In paragraph 3 of Part IV of that Schedule (rate fund contributions to the Housing Revenue Account) for the words “section 34(1) of the Social Security and Housing Benefits Act 1982” there shall be substituted the words “section 30(6) of the Social Security Act 1986”.

Legal Aid (Scotland) Act 1986 (c. 47)U.K.

61SIn section 8(b) (availability of legal advice and assistance) and section 11(2) (clients’ contributions) of the Legal Aid (Scotland) Act 1986, for the words from “supplementary” to “1970” there shall be substituted the words “income support or family credit”.

Part III U.K. Benefits under Social Security Act 1975

U.K.

62—66.U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F22

Industrial Injuries and Diseases (Old Cases) Act 1975 (c. 16)U.K.

67U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F23

68(1)In section 4(8)(a) of that Act (parliamentary procedure for making of schemes) for the words “an up-rating order under the Social Security Act” there shall be substituted the words “any order or regulations under the Social Security Acts 1975 to 1986”.U.K.

(2). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F24

U.K.

69, 70.U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F25

Part IV U.K. Statutory Maternity Pay, Statutory Sick Pay Etc.

Income and Corporation Taxes Act 1970 (c. 10)U.K.

71U.K.At the end of section 219A of the Income and Corporation Taxes Act 1970 (which charges certain payments to income tax under Schedule E) there shall be added “and

(d)payments of statutory maternity pay under Part V of the Social Security Act 1986 or, in Northern Ireland, any corresponding provision contained in an Order in Council under the Northern Ireland Act 1974.”.

Social Security Act 1975 (c. 14)U.K.

72U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F26

73U.K.In section 122(4) of that Act for the words “either or both those Funds” there shall be substituted the words “that Fund”.

U.K.

74U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F27

Employment Protection (Consolidation) Act 1978 (c. 44)U.K.

75In section 33 of the Employment Protection (Consolidation) Act 1978 (right to return to work) in subsections (3) and (4) for the word “rights” there shall be substituted the word “right” and in subsection (5) for the words “either of the rights” there shall be substituted the words “the right”.

76In subsection (4) of section 123 of that Act (payment of unpaid contributions to pension schemes) for the words “maternity pay” there shall be substituted the words “statutory sick pay, statutory maternity pay under Part V of the Social Security Act 1986, maternity pay under Part III of this Act”.

Social Security and Housing Benefits Act 1982 (c. 24)U.K.

77U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F28

78U.K.The following paragraph shall be inserted before paragraph (a) of section 45(2) of that Act (Parliamentary control of subordinate legislation)—

“(za)regulations under section 7 of this Act;”.

Insolvency Act 1985 (c. 65)U.K.

79U.K.In paragraph 3(2)(d) of Part II of Schedule 4 to the Insolvency Act 1985 (preferential debts) the words from the beginning to “1982” shall cease to have effect.

Bankruptcy (Scotland) Act 1985 (c. 66)U.K.

80U.K.Paragraph 9(2)(d) of Schedule 3 to the Bankruptcy (Scotland) Act 1985 (preferential debts) shall cease to have effect.

Wages Act 1986 (c. 48)U.K.

81In subsection (1)(f) of section 7 of the Wages Act 1986 (meaning of “wages”) for the words “maternity pay under Part III of the 1978 Act” there shall be substituted the words “statutory maternity pay under the Social Security Act 1986”.

Part V U.K. Common Provisions

Social Security Act 1973 (c. 38)U.K.

82In section 68(1) of the Social Security Act 1973 (submission to Occupational Pensions Board of proposals to make regulations) for the word “Where” there shall be substituted the words “Subject to section 61 of the Social Security Act 1986, where”.

Social Security Act 1975 (c. 14)U.K.

83—88.U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F29

89U.K.In section 167(3) of that Act (parliamentary procedure) for the words “, 123A or 126A or an up-rating order” there shall be substituted the words “or 123A”.

90U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F30

Social Security Pensions Act 1975 (c. 60)U.K.

91, 92.U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F31

93U.K.In subsection (1) of section 59 of that Act (official pension) for the words “that section” there shall be substituted the words “section 63 of the Social Security Act 1986”.

94U.K.In section 61(2) of that Act (consultation about regulations)—

(a)for the word “Where” there shall be substituted the words “Subject to section 61 of the Social Security Act 1986, where”; and

(b)after the words “of this Act” there shall be inserted the words “or of Part I of the Social Security Act 1986”.

95U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F32

Child Benefit Act 1975 (c. 61)U.K.

96U.K.At the end of subsection (1) of section 6 of the Child Benefit Act 1975 (child benefit claims and payments) there shall be added the words “and within the prescribed time”.

97U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F33

U.K.

98—100.U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F34

Part VI U.K. Miscellaneous

Income and Corporation Taxes Act 1970 (c. 10)U.K.

101U.K.In section 219 of the Income and Corporation Taxes Act 1970 (taxation of benefits)—

(a)in subsection (1), for the words, “maternity benefit” there shall be substituted the words “maternity allowance, widow’s payments”; and

(b)in subsection (2), for the words “in respect of a family income supplement under the M23Family Income Supplements Act 1970 or the M24Family Income Supplements Act (Northern Ireland) 1971” there shall be substituted the words “of family credit under the Social Security Act 1986 or any corresponding enactment applying to Northern Ireland,”.

Attachment of Earnings Act 1971 (c. 32)U.K.

102U.K.In section 24(2)(c) of the Attachment of Earnings Act 1971 (social security benefits etc. not earnings for purposes of Act) for the words from “of” to the end there shall be substituted “enactment relating to social security;”.

National Insurance Act 1974 (c. 14)Social Security Act 1980 (c. 30)Social Security Act 1985 (c. 53)U.K.

103U.K.The words “the Social Security Acts 1975 to 1986” shall be substituted—

(a), (b). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F35

(c)for the words “the Social Security Acts 1975 to 1985” in section 5 of the Social Security Act 1985.

Social Security Act 1975 (c. 14)U.K.

104—107.U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F36

Forfeiture Act 1982 (c. 34)U.K.

108U.K.In section 4 of the Forfeiture Act 1982—

(a). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F37

(b)in subsection (5), for the words from “the M25Family Income Supplements Act 1970” to “the M26Social Security Act 1980” there shall be substituted the words—

“the Child Benefit Act 1975,

the Social Security Acts 1975 to 1986,”.

Section 86.

SCHEDULE 11U.K. Repeals